NRZ struggling

The National Railways of Zimbabwe is operating below 30% capacity owing to financial constraints to fund its recapitalisation with a number of investors interested in the entity though nothing concrete has been made.

The impact of the inefficiency of the entity has been described by some as the missing link in economic growth matrix.

Dilapidated infrastructure, undercapitalisation and absence of competent board of directors has forced the national rail company to be a shadow of its former self in terms of facilitating trade in the country and outside.Â

The situation at the parastatal has been worsened by the existence of the harsh illegal economic sanctions imposed on the country by western nations.

With the nation slowly recovering from the decade long economic challenges questions have been raised over the demise of the parastatal which should play an important role in stimulating economic growth.

Business Council of Zimbabwe Chairman,Mr David Govere said there is need for NRZ to be capacitated to ensure that there is smooth movement of goods at the same time facilitating trade within the region.

Several investors have expressed interest in the firm but nothing has materialised which has left many wondering how NRZ will be resuscitated.

Zimbabwe National Chamber of Commerce Chief Executive Officer, Mr Andrew Matiza said rail transport is one of the key economic drivers hence the need to ensure that it is fully operational to stimulate growth in other sectors.

The movement of fertilizer from Sable Chemicals in Kwekwe to Harare has been a challenge last year, which has seen the delay in the availability of inputs for the farming season.

Debate still rages on whether NRZ is the missing link in the countryâ€™s economic growth but for the General Manager of the institution Retired Air Commodore Mike Karadzai it is far-fetched.

The countryâ€™s infrastructure has been cited as a stumbling block to trade with and NRZ in particular.

Financial muscle is required in the revival of the firm especially in the refurbishment of the wagons and related infrastructure.

The NRZ is facing a serious lack of resources to maintain and replace its dilapidated infrastructure, which has been in use for well over 50 years.